tv CBS Evening News With Scott Pelley CBS November 30, 2011 7:00pm-7:30pm EST
central banks in europe and japan all worked together to make borrowing easier. the dow was up just over 490 points today. it's quite a week already. in the last three days, the dow is up 7.25%. back in the black. our senior business correspondent anthony mason is on the floor of the new york stock exchange. anthony. >> reporter: the dow is over 12,000 again, scott, and all 30 stocks in the index were actually up today, and as you say, the dow is now back in the black for the year. the rally began at the opening bell and never lost momentum. all three major armies were up more than 3% on the day. >> the european move was definitely the spark that lit the fire. >> reporter: the fed's coordinated move today with the central banks of europe, england, japan, canada, and switzerland, cut the cost of borrowing dollars for european
banks. in the fed's words, "to sees strains in financial markets." but that won't solve europe's long-term debt problems, says david lot. >> you know what, anthony, it solved the immediate problem and the immediate problem was make sure we didn't have a failure of a major financial institution that could have caused lehman brother's type impacts. >> reporter: the markets like the key numbers on jobs, housing, and manufacturing, all coming in stronger than expected. more fuel for the near-500-point rally. the next mile marker for the markets will be the unemployment number that of which comes out friday. >> pelley: anthony, does this mean we're out of the woods on those enormous debts owed by some european governments? >> reporter: well, european leaders are holding a summit in brussels on december 9, scott. that's a week from friday. the markets are expecting and will be disappointed if they don't get some kind of deal out of that meeting.
the feeling down here is that the stock market wants to rally but the only thing that's holding it back right now is europe. >> pelley: we'll be watching. anthony, thank you very much. even china got in on the effort to ease lending today. it reversed its policy and freed up cash so its banks can lend more, all to add fuel to the chinese economy which has been slowing. president obama and many republicans want to keep our economy moving by extending the payroll tax cuts, which is due to expire at the end of next month. today, the president flew to pennsylvania to press the case. more on that from chief white house correspondent norah o'donnell. >> reporter: scott, president obama is using this payroll tax cut issue to frame the debate before next year's election and to try and paint republicans as the party that will protect the wealthy at the expense of the middle class. today, the president made his eighth visit this year to pennsylvania, a state indispensable to his reelection
bid, and slammed republicans for opposing parts of his jobs plan. >> i mean, what happened? republicans said they're the party of tax cuts. that's what they said. a lot of them have sworn an oath to never raise taxes on anybody as long as they live. that doesn't square with their vote against these tax cuts. >> reporter: but republicans do support extending the payroll tax cuts. what they oppose is paying for them with a new tax hike on people making more than $1 million a year. >> are you willing to fight as hard for middle-class families as you do for those who are most fortunate? what's it going to be? that's the choice in front of congress. and i hope members of congress think hard about this because their action lately don't reflect who we are as a people. >> reporter: house speaker john boehner said today he's committed to working with the president to find a compromise and despite disagreements, the payroll tax extension will be paid for, but he did not specify how. >> there's no debate, though,
about whether these extensions ought to be paid for. the president's called for them to be paid for. democrats here have called for them to be paid for. so if in fact we can find common ground on these extensions, i think you can take to the bank the fact that they will be paid for. >> reporter: scott, republicans tonight said they want to pay for this tax cut by freezing the pay of federal workers. democrats still insist that millionaires should foot the bill. in the end, they're going to have to work out a compromise to avoid a 2% tax increase on 160 million working meshes-- americans come january. >> pelley: norah, what are the chances they're going to work out that deal? >> reporter: i think the chances are good because they don't want to raise taxes on 160 million working americans. also, a lot of economists say this could have a severe effect on our economy. put, scott, like most things here in washington, it will be ugly and probably means the president will have to give up
on his insistence that millionaires end up paying for this tax cut. >> pelley: norathanks very much. by the way, president obama carried scranton where he was today handily in 2008. he needs pennsylvania to win again, but what are his prospects? a little bit later in the broadcast, we will show you why it could be a tough sell. two republicans battling for the chance to run against the president were in attack mode today. herman cain and newt gingrich both lashed out. we have two reports, beginning with jan crawford with the cain campaign in ohio. >> reporter: cain is reevaluating his campaign after an atlanta woman said they had an affair for 13 years. this afternoon he said he will make aistition whether he stays in the race after the next several days after he talks with his family but as he campaigned today, he did not sound like a candidate who was on the ropes or a candidate who was getting ready to quit.
here's what he had to say in dayton. >> the establishment does not want herman cain to get this nomination. the liberals do not want herman cain to get this nomination. but i happen to believe that the american people have a different idea about who ought to get this nomination ( cheers and applause ) >> reporter: as you can tell from that crowd reaction, scott, his supporters here are standing by him, but as you also know, a campaign takes money, and sources tell cbs news, as long as the money's coming in, cain will stay in the race, but he does not like the idea of taking on debt. he is not going to drag his campaign into debt if his fund-raising dries up. >> pelley: jan, thanks very much. as cain has stumbled, newt newt gingrich has charge to the opening. he is the front-runner in the state of south carolina, and nancy cordes is in greenville. >> reporter: scorkt as
gingrich gains momentum here and around the country he is making a tears bid for tea party voters who may be losing interest in herman cain, echoing their charge that mr. obama say radical socialist. >> when i was speaker i created 11 million jobs. he stands for unemployment. at a values level, we stand for american exceptionalism, the constitution, the declaration of independence, he stand for some weird european nationalist secularist model that doesn't work. >> reporter: the former house speaker also expressed suspicions self times about mr. obama's background as a community organizer, and said that the president has "no solutions for america." he is clearly trying to prove to republican voters here and around the country, scott, that it is he and not mitt romney, who would go after the president most aggressively in a general election match-up and give republicans the fight that they've been hoping for. >> pelley: nancy, thanks very much. they put up a small fight today as police crackdowns broke up
two of the last major occupy protests. in los angeles, 1400 officers moved into a two-month-old camp near city hall. they arrested 292 people who refused to leave. and in philadelphia, police made about 50 arrests after clearing out a tent city. there are still large encampments in boston and in washington. along the mexican border, police uncovered the most sophisticated drug smuggling tunnel they have ever seen. take a look at this. it ran 600 yards between san diego and tijuana, mexico. it had lights, ventilation, hydraulic lifts, and electrical rail cars. the tunnel linked two warehouses where police found 32 tons of marijuana, making this one of the biggest pot busts in u.s. history. the fukushima meltdown in japan was a lot worse than we thought. you won't see it on the label, but there could be arsenic in
serious about delivering on democratic reforms. mrs. clinton will also meet with the opposition leader who was freed in 2010 after years of house arrest. the fukushima diachy nuclear power plant in japan came a lot closer to a full meltdown than we first thought. the company that runs the plant said today that the radioactive core inside reactor one burned through a concrete containment barrier and nearly reached the soil below. the plant was damaged by an earthquake and saw nawm nemarch, and lucy craft reports membership in- many in japan are worried about what it does to their food. >> toshiko yasuda lives 170 miles away from the nuclear plant. worried about radiation she buys little at the grocery store nowadays. she says,
"radiation-contaminated beef has turned up in the market. broccoli and spinach and shitake, too. all discovered after they were on sale. i don't trust the government anymore. she worries even trace radiation might hurt her eight-year-old daughter aimi. nowadays she obsesses over meal preparation with most ingredients purchased online. she tells me she buys eggs and other fresh foods from suppliers in distant southern japan, and as far awayals the u.s. for fishermen and farmers across eastern japan, the public fear of radiation has done more damage to their livelihoods than the actual radioactive fallout themselves. we are about 100 miles south of the crippled nuclear power plant. about once a week, the fish here is tested for radiation. so far, they've passed with flying colors. the fishermen here insist their flounder, octopus and shrimp are safe to eat, and yet customers at the neighborhood fish market
are down by half since the nuclear accident. "if consumers are misled by harmful rumors," this fish merchant said "none of us will be able to make a living." the government argues food fears are overblown and says hundreds of food samples are tested daily for radiation and few exceed the levels. with a shortage of radiation detection devices it's not possible to test every catch. while the risch may be small, yasuda is not taking any chances with her child. she says, "maybe low-level ridation exposure won't give my child cancer but if down the road she became sick i would be overwhelmed with regret about why i wasn't more careful." with low-level and widespread contamination of their soil and water, they could face years of uncertainty over what to place on their table. >> pelley: "consumer reports"
released a study today on the safety of fruit juice here in the u.s. it tested 88 samples of grape and apple juice, and 10% had arsenic levels above the federal limit that is set for drinking water. the juice industry insists that its products are safe, but the f.d.a. says it will review its safety standards for juice. is there a connection between college sports teams and violent gangs? what a cbs news-"sportsaners. illustrate" investigation found
>> pelley: for young people in tough neighborhoods, college sports can be a ticket out, but some student athletes have a hard time leaving their trouble behind. cbs news chief investigative correspondent armen keteyian and "sports illustrated" magazine have been looking at the influence of violent gangs on college sports. >> reporter: in 2007, brandon johnson charged straight out of dominiquez high in compton, california, and into the starting lineup at the university of washington. today, the 22-year-old johnson sits in a southern california jail, facing murder charges in connection with the shooting of an 18-year-old suspected gang member this summer. johnson, who has denied all charges, is accused of being in the words of a prosecutor in the case, "directly affiliated with the infamous bloods gang." >> the kinds of crime that gang members are most likely to be involved in are the kinds of
crimes that ought to concern athletic directors, police chiefs, university presidents, and coaches. >> reporter: scott decker is a professor of criminology at arizona state university. he coauthored a study funded by the justice department showing for the first time, the dangerous hidden influence of gang members in major college sports. the study was based upon a survey of 130 top athletic programs, while the vast majority of college athletes are not valv involved in gangs, it d nearly 20% of the police chiefs who responded reported direct knowledge of a student athlete who retained gang membership while at their university. >> what it says to me is that gang membership in division one athletics is a significant problem. it's something work paying attention to. >> reporter: no one keeps track, but we found suspected gang-related incidents involving college athletes aterous gears, oregon, oregon state, nebrask
anevada, and southern mississippi. the charges ranged from assault mike leach was head football coach at highly ranked texas tech from 2000 to 2009. over 20 years of coaching, one of his players was shot by a gang member, and he got rid of another who posted gang slogans on his facebook page. >i think if you have somebody drawing influence from something negative off campus, especially something illegal that involves drugs and firearms, well then i think you risk contaminating the other 125 players. >> reporter: as part of a special report on gangs and sports, "sports illustrated" and cbs news went to a city, compton, where gangs and sports intersect unlike any other. the birthplace over the years of hundreds of blue chip recruits, and today, 34 active gangs involving more than 1,000 members. >> we have a gang called cv-3. we have loxose 13. >> reporter: sergeant brandon dean is a supervisor in the gang
unit in the l.a. county sheriff's department. >> a lot of these athletes are involveed in the gang, even if they tonight want to be. they start playing sports but there's such an outer influence for them to join that gang or at least be associated with them to the point where they're somehow involved. >> reporter: how hard is it to remove yourself? >> extremely hard. >> reporter: at comp ton's dominiquez high, class president lavell sanders is one of many athletes working 24/7 to remain free from the trip of gangs, relying on his family, on and off the field. >> it's a big outlet. it separates you from the other people. we all easily could make the wrong mistake and be in the streets but thank god for our fathers that they kept us going in the right path. appears to have wandered off that path. his next court hearing on murder charges is set for next month, yet one more alarming wake-up call to the presence of gang
>> pelley: finalry tonight, there's good reason from president obama went to pennsylvania today. since 1948, no democrat has won the white house without carrying that state. and he's got a lot of work to do in scranton. in the last three years there, the unemployment rate has gone from 6.4% to 9.7%. we asked chip reid to go there it to find out what the voters are saying. >> reporter: the 2012 presidential election may well come down to the half a million or so folks who live here in the valley around scranton, pen, an area with the highest unemployment rate in the state for 18 months in a row. >> you don't understand that you have a job, you're doing well, tomorrow, it's gone. >> reporter: steve simko hasn't worked since last may, and at age 63, missed his mortgage payment last month for the first time in his life. and you're living a pretty basic life right now. >> oh, i'm living beyond basic.
i'm-- i'm-- i've already rolled all my change, okay. >> reporter: simko, who volunteered for the last obama campaign, represents a basic political problem for the president-- voters here gave him a double-digit victory in 2008 but are far worse off today. >> if he doesn't win, pennsylvania, it's over. >> reporter: paul kanjorski knows the area better than just about anyone. he represented scranton in congress as a democrat for 26 years until he was voted out in the 2010 election. >> if the election were held today, i don't have any doubt he'd lose this district. >> reporter: and lose the state? >> and the state. >> reporter: kanjorski says the only thing that can save the president is an economic turnaround. since the last president yeah election, the area has shed thousands of jobs in mining, manufacturing, and construction. steve simko says he plans to vote for mr. obama again but in such a dismal job market, it's hard to get as fired up as in
2008. when you opened those classified ads this morning and looked and saw that paltry number of jobs, what did you think? >> i said, typical of the area. that's about the best way i can describe that. it's very disappointing. >> reporter: simko has a lead on a new job but it wouldn't start until next year, just around the time when his unemployment benefits are currently scheduled to run out. chip reid, cbs news, scranton, pennsylvania. >> pelley: and that's the cbs evening news for tonight. for all of us at cbs news all around the world, good night. captioning sponsored by cbs captioned by media access group at wgbh access.wgbh.org
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